An NFT, which stands for a non-fungible token, is a unique digital version or representation of a particular good. In this article, we will be discussing the cross-over of NFTs and arts to see how well they go together and what potential hides underneath this mass technological breakthrough.
As NFTs are gaining greater ground every passing day, providing ample opportunity for development, ownership rights, and profit to individuals and institutions alike, more people are turning to marketplaces like digitaleyes for potential investments.
Are you considering tokenizing your art? As with many things, grabbing the opportunity promptly is one of the critical components of achieving life-changing success.
The industry sale that turned heads and got people talking
The art and NFT relationship hit the spotlight in 2021, when digital artist Mike Winkelmann, better known as Beeple, sold a piece at Christie’s called “Everydays: The First 5000 Days” as a montage of photos the artist posted online over more than 13 years.
It hit the headline because of its astonishing price that reached a little over $69 million. This example is considered a turning point and started bidding at $100. Quite the turn of events.
NFTs in Art : an essential sphere for NFT investments
While non-fungible tokens have already been around for several years, entering various online and offline industries, art has been one of the most widely recognizable areas where this particular technology has proved largely influential and mutually beneficial.
By now, it is common knowledge that non-fungible tokens are set to seriously reform the art world, both in terms of value and transparency of ownership and the mass adaptation of how art is being bought and sold. Considering that traditional purchases via auctions are unknown and inaccessible to everyone, a radical shift is that art is becoming available.
See, for the most part, art has typically been preserved in public institutions and private ownership, stored and sold with high-security measures for these physical items. In contrast, this no longer has to be the only practice – and it is not.
Blockchain & Arts: A contemporary resurgence partner
With the rising acceptance and popularization of NFTs, trading and selling are adapted to fit the increasingly digital world we live in. As a result, several benefits come from this merger.
Non-fungible tokens come with publicly viewable and transparent ownership rights. Resale royalties also provide original creators with a percentage every time the NFT piece of art is purchased. This makes it easier and safer to invest digitally.
This also means an additional benefit in the safety of investments and the continuous pouring in of profit for artists, making it an opportunity challenging to disregard.
The perspective of a prosperous relationship
Some people mistake non-fungible tokens as an art form, but that is not the case. Instead, NFTs should realistically be viewed as a new variety of a medium (in addition to the already existing ones) while being an instrument for financial gain and security.
An art NFT holds much potential, whether you create digital files, break apart an NFT into fractions (think of this as you would usually think of shares), or minting the existing physical works of art. Of course, these processes vary but have equally great benefits to choosing them.
For example, an often posed question is, why would you mint a physical art piece. While it might be confusing at first glance, the overarching point is to further protect the piece by installing clear data about the piece, such as owner’s rights, instructions for care, historical background, and more.
Is this an area for you?
You adore art, but the traditional sales process seems complicated and out of reach? You are a digital artist interested in protecting rights over your creations? Are you an avid admirer of new technologies? Do you have cool ideas that could rock the NFT arts market? Looking to make a profit or turning to art as an investment?
Let’s take a brave guess and say that you nodded yes to at least one of these questions, if not more. Investing in NFTs or protecting and promoting your creations through the NFT breakthrough is more appealing by the day.
How much does it cost to hit the marketplace with your art NFT
To sell your art NFT, it is necessary to sign up to a marketplace like digitaleyes, and then “mint” tokens – which is usually done on the ETH blockchain. This process will wind up costing you somewhere between $50 to $200, at which point you can enter the race and sell or auction your items.
The vast array of possibilities opened the gates to new investors and lovers of the art field, making it possible for the artists to present their work and make it achievable to the general population to purchase art regularly – out of joy of investing.
How this art differs from the other digital art we know
With this particular type of encompassing art, artists can protect the value of their work and obtain significant financial benefits. While digital art has been around for everyone to be exposed to, its reality was that most of it went undervalued, underappreciated, and unattached to any ownership rights.
For example, unlike art that was reproduced an x amount of times without giving back to the original creator across social media platforms, NFTs do not allow for such practices without protecting the original creator and attached rights. This is where the game started changing with NFTs.
Should you invest in digital art
Well, the short answer would be – yes. We are by no means saying to ditch the museums. On the contrary, see your nearest exhibition and support the institutions. But, if you generally hold an interest in digital art, dive into NFT. After all, it is a partly virtual world we are living in.
Frequently Asked Questions
NFTs are digital assets that represent ownership of a piece of artwork or another digital asset. Unlike a traditional cryptocurrency, which can be exchanged for another currency, an NFT cannot be exchanged for another asset. Each NFT is unique and therefore has a different value.
How do people buy NFTs?
People can buy NFTs through online marketplaces. Some of the most popular marketplaces include OpenSea, Rarible, and SuperRare.
What are the benefits of buying an NFT?
Some people believe that buying an NFT is a good investment because the value of the asset may increase over time. Others believe that NFTs will revolutionize the art world by making it possible to own and sell digital artworks.
What are the risks of buying an NFT?
Some people worry that the value of an NFT may decrease over time. Others are concerned that the new technology will lead to increased speculation and price manipulation. Only time will tell how NFTs will impact the art world.